Minmar (929) Ltd & Anor v Khalatschi & Anor [2011] EWHC 1159 (Ch) (08 April 2011)

Minmar (929) Ltd & Anor v Khalatschi & Anor [2011] EWHC 1159 (Ch) (08 April 2011)

Paragraph 105 Schedule B1 does not dispense with the requirement for directors to comply with company Articles and internal management rules; the purported appointment of administrators was invalid due to lack of notice, quorum, and compliance with Articles, and failure to give notice to the company under paragraph 26 and Rule 2.20.

Citation
[2011] EWHC 1159 (Ch)
Parties
Applicant/claimant: Minmar (929) Limited; Applicant/claimant: Teejinder Paul Chohan; Respondent/defendant: Freddy Khalatschi; Respondent/defendant: Martin John; Intervener/defendant: Clemantine Limited; Intervener/defendant: Grantday Limited; Intervener/defendant: Osterwood Limited; Intervener/defendant: Baleday Limited
Jurisdiction
England and Wales
Judgment Date
08 April 2011
Procedural Posture
Application to Set Aside Appointment of Administrators / Judgment on Application
Outcome
Appointment of administrators set aside
Legal Topics
Appointment of Administrators, Directors' Powers, Notice Requirements, Standing to Challenge Appointment
Insolvency Company Law Appointment of Administrators Directors' Powers Notice Requirements Standing to Challenge Appointment

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 10 Party arguments 2 Amounts and remedies 8
Sign in to unlock

Parties

Minmar (929) Limited

Applicant/claimant

Teejinder Paul Chohan

Applicant/claimant

Freddy Khalatschi

Respondent/defendant

Martin John

Respondent/defendant

Clemantine Limited

Intervener/defendant

Grantday Limited

Intervener/defendant

Osterwood Limited

Intervener/defendant

Baleday Limited

Intervener/defendant

Procedural Posture

Application to Set Aside Appointment of Administrators / Judgment on Application

Legal Issues

  1. 1 Whether the appointment of administrators was valid under Schedule B1 to the Insolvency Act 1986
  2. 2 Whether directors' decisions must comply with company Articles
  3. 3 Whether notice requirements under paragraph 26 Schedule B1 were satisfied

Ratio Decidendi

Paragraph 105 Schedule B1 does not dispense with the requirement for directors to comply with company Articles and internal management rules; the purported appointment of administrators was invalid due to lack of notice, quorum, and compliance with Articles, and failure to give notice to the company under paragraph 26 and Rule 2.20.

Court Disposition

Appointment of administrators set aside

Orders

  • Appointment of Freddy Khalatschi and Martin John Atkins as administrators of Minmar (929) Limited is set aside
  • Relief sought by the application is granted